Retail Express - 20 October 2020 by BetterRetailing

AVOID THE FINANCE TRAP • Covid-19 creates new investment challenges for retailers • Experts share advice on how to avoid being caught out and maximise funding opportunities

20 OCTOBER-2 NOVEMBER 2020 STRICTLY FOR TRADE USERS ONLY

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INSURANCE PROVIDER APPEAL

COVID-19 HARDSHIP FUND

RETAILER ADVICE

Experts urge indies to file Covid-19 business interruption insurance complaints

Scottish retailer raises £10k to help vulnerable customers during the pandemic

Christmas 2020: How three retailers are preparing for a season like no other

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FORECOURT FOCUS How one forecourt retailer is putting customer experience first P15

FORECOURT FOCUS

gets ideas Learn how this retailer p16 from around the world

nals a Asda acquisition sig ecourts for for e’ tim ‘healthy

he added. shows the market,” demand “Our own data “This sustained “Throughout lockdown, there is a clear pattern is also resulting in vendors tion increase seen a consist“While post-transac achieving or exemerging with an Group fuel sepa- we have in forecourts branding at EG and EG may be registrations frequently price for N in Ashby, Asda shared ent interestthe market and in new buyer suggesting ceeding the asking DARYL WORTHINGTO station forecourts , to rately managed, their business across and Primley in ownership may well be coming have be- on christie.com with their retail eq- Leamore convenience stores an increase in activity, market.” EG GROUP and privatehave the Midlands. affect their willcornerstone of ac- buyers actively returning to the the enough to with come the uity firm TDR Capitalto acThe first of these, ingness to compete cessible local retail. deal Service Station agreed a £6.8bn Primley other.” each Walmart. Walsall, Bywaquire Asda from on the A454 in Meanwhile, Nick the of Based in Blackburn, opened in October, with ter, associate directorsays founded trading was start to team, EG Group Christie’s retail and others set a healthy by brothers Mohsin pet- later this month. the deal points to foreZuber Issa. It operates time for the petrol fast-food rol stations and the US What does it mean for court sector. is a logioutlets in Europe, independent forecourts? “The bid for Asda to competition Issa brothand Australia. cal move for the period According Aldwych Partners, ers and signals a continued “After a successful we are advisers EG reas part of Walmart, helping prior to the acquisition, on convenience to fourth-larg- focus profits looking forward d Group was the operator in tail,” he said. “With Asda build a differentiate est petrol station forecourt convenience from continue sixth. will the outstripping and Asda business that brilliant- the UK, deal seems likely increasingly and dieto serve customers “The profits from petrol across the interest from the sel sales, what better way to ly in communities from to spark Markets UK,” said a statement f your forecourt Competition and due to the future-proo the Issa brothers. than to fully inteAuthority (CMA) business Asda competia supermarBack in September, enter potential effect on to and grate it with that has the announced it was market tion in both fuel sales ac- ket business the convenience This in- convenience retailing,” t grocery market the third-larges alongside EG Group. ‘Asda cording to a blog post on share in the UK?” new website. cluded trials of its Aldwych Partners On the Move’ convenience

20 OCTOBER-2 NOVEMBER 2020 STRICTLY FOR TRADE USERS ONLY

ce New inspection servi s for EV charge point

ric Scania enters elect truck market

Three months of fuela halt price rises come to

up 1.83p to 131.14p. rising fuel sel went three months of risTHREE months of “After will in a few years’ time, prices finally came to an end fuel prices, drivers of er Sca- is that, longaccording to ing the cost VEHICLE manufactur elec- we will also introduce be relieved to see are compliant trucks in September, stay added a fully electric by RAC’s Fuel Watch, both petrol and diesel stayWork nia has has unveiled installations high-perfor- distance for fast-charging analysis 55-litre tank cost costfuel the Electricity at BUREAU Veritas tric truck and a a full inspection with the same,” said RAC its adapted 1989 and the BS compulsory with average – ing a new testing and plug-in hybrid to Williams. during drivers’ ing drivers £63 on vehicle (EV) Regulations spokesman Simon ts for Elec- mance range. service for electric 7671 Requiremen June, when prices 45-minute rest periods.”sales £7 less than in January. Wir- vehicle “Since (IET company’s points. UK the figures, charging as a result of They mark The company’s spe- trical Installations According to the range sold stopped falling Connolly, The electrical safety Regulations). first series production director, Vincente on of the the average price of fuel ts the coronavirus movement the move in ing we’re seeing a rethe trucks. cialist has made “ “Although supermarke eased, electrificati electric four that of being big showwe will said is vital by the a litre and restrictions number of EV charging response to figures been going “Looking ahead, heavy vehicles market still stands at 109p 9,000 new cord springing up, the onus is cost of fuel has launch electric ve- for meeting the Paris Agreeing that almost While price rises 113.93p. they annually been in- points diesel steadily. up have ensure product to global fuel on they connections duty holders hicles for the entire ment’s 1.5°C limit However, motorway never good news, in the past on ‘quality first’ approach range, and we are presently warming. With this in mind, stalled in the UK in Septem- are not gone back to the Zap-Map take a prices went up have g our production e-vehicles will year. Statistics from charge to installation, prioritising petrol increasing high levels seen at the beginand reorganisin end,” said Hen- he anticipates at- ber, with average of show there are 33,779vehicles electrical safety for users in that “an increasingly 2.57p a litre to an regular in- towards presi- become presi ning of the year.” points for electrical the public through option for progres- 126.72p across all sites. Dierik Henriksson, Scania ,” tractive country. maintenance around the dent and CEO. for spection and sive customers”. The inspection service to said Michael Kenyon, technical “Of particular significance aims EV charging points at Bureau Veritas. ensure all lead help duty holders

AVOID THE FINANCE TRAP

grown your sales forecourt that have big changes in your l@newtrade.co.uk Have you made any 7689 3390 or at editoria Let us know on 020

• Covid-19 creates new investment challenges for retailers • Experts share advice on how to avoid being caught out and maximise funding opportunities P3

INSURANCE PROVIDER APPEAL

COVID-19 HARDSHIP FUND

RETAILER ADVICE

Experts urge indies to file Covid-19 business interruption insurance complaints

Scottish retailer raises £10k to help vulnerable customers during the pandemic

Christmas 2020: How three retailers are preparing for a season like no other

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and profits?

our say

Megan Humphrey, editor

Understand the value of your community IT’S hard to remain optimistic at a time when the prime minister continues to announce tighter restrictions that may be in place for a long time yet. However, the positivity of Nisa retailer Harj Dhasee was exactly what I needed to hear this week. Speaking at the ACS’s Heart of the Community virtual event, Harj highlighted how the pandemic has built a newfound community bond that was lacking before. “Having local services working together has made our neighbourhood feel more connected,” he explained. “Become the leader of your local community, don’t let somebody else do it.” This isn’t a surprise, after a recent report revealed that local shops had had the most positive impact on their community this year. With another expert adding that a lot of people have expressed concern lately over the future of their high street, it begs the question – how long will the ‘shop local’ trend continue? HOW LONG I hope for a very long time. I am confident it will, as the pandemic WILL THE ‘SHOP will continue to encourage more LOCAL’ TREND people to recognise the contribution of their local shop on the rest CONTINUE? of the community. For example, 71% collect money for a national or local charity, and 13% provide funding to a local event. I’d also like to applaud the ACS for its tribute to the late Raj Aggarwal by naming in his honour a trophy for retailers carrying out outstanding work within their communities. What a wonderful way to ensure his legacy lives on.

The five biggest stories this fortnight 01

‘Keep lodging Covid-19 insurance claim complaints’

MEGAN HUMPHREY EXPERTS have urged retailers to lodge complaints to the �inancial ombudsman if they have been failed by their insurance provider during the coronavirus pandemic. The comments come after insurers appealed the recent Financial Conduct Authority (FCA) test case two weeks ago to the Supreme Court. The High Court initially ruled in favour of small shops

in September, highlighting that most were entitled to claim against their insurance cover, or receive compensation for denied claims if they were forced to close due to Covid-19. Capital Law’s senior lawyer, Catrin Povey, told Retail Express: “The appeal is going to go ahead unless the two parties can agree something between themselves, but I can’t see them doing that. “The decision affects a lot of people, so they won’t rush

the judgement. I predict we won’t see a result on this until early next year, but hopefully by February we will have an idea of what direction the appeal is going in.” She added: “This is frustrating for businesses who are in desperate need of payouts now.” However, when asked what retailers can do to improve their chances of receiving compensation, Povey urged them to lodge any complaint

to the �inancial ombudsman for free. “There is a backlog, but the best thing they can do is lodge their complaint, and keep gathering any evidence that might help their case, including evidence of losses,” she said. Call Retail Express on 020 7689 3357 if you require further free legal advice

FOR MORE ON HOW A SCOTTISH RETAILER WENT ABOVE AND BEYOND FOR HIS COMMUNITY DURING THE PANDEMIC, HEAD TO P4 @retailexpress betterRetailing.com facebook.com/betterRetailing Editor Megan Humphrey @MeganHumphrey_ 020 7689 3357 Features editor Daryl Worthington @DarylNewtrade 020 7689 3390 Insight reporter Tamara Birch @TamaraBirchNT 020 7689 3361 Editor in chief (maternity cover) Tan Parsons 020 7689 3353 Production editor Ryan Cooper 020 7689 3354 Sub editor Jim Findlay 020 7689 3373 Head of design Anne-Claire Pickard 020 7689 3391 Designer Jody Cooke 020 7689 3380

Editor – news Jack Courtez @JackCourtez 020 7689 3371 Senior features writer Priyanka Jethwa @PriyankaJethwa_ 020 7689 3355 News reporter Kate Plummer @NewtradeKate 020 7689 3395 Production coordinator Nadeem Masood 020 7689 3368 Director of sales and marketing Matthew Oliver 020 7689 3367 Senior account director Charlotte Jesson 020 7689 3389 Senior account manager Natalie Reeve 020 7689 3372

Editor – insight Chris Dillon @ChrisDillonNT 020 7689 3379 Senior news reporter Alex Yau @AlexYau_ 020 7689 3358 Digital content editor Jody Porter 020 7689 3378

Sales support executive Charlotte Brady 020 7689 3382 Management accountant Abigayle Sylvane 020 7689 3383 Managing director Parin Gohil 020 7689 3375

Retail Express is printed and distributed by News UK at Broxbourne and delivered to news retailers free by their newspaper wholesaler. Published by: Newtrade Media Limited, 11 Angel Gate, City Road, London, EC1V 2SD; Phone: 020 7689 0600

46,191

Jack’s small format

BOOKER has launched a convenience format trial under Tesco’s discounter Jack’s brand. Former Family Shopper retailer Mo Razzaq opened the �irst trial site on 12 October in Blantyre, South Lanarkshire.

Further openings are planned in County Durham and Middlesbrough. The stores will be between 1,800sq ft and 2,000 sq ft, and have access to around 2,500 products – 500 of these lines will be Jack’s own label.

Covid-19 funding

THE government has announced £60m in funding for police forces and local councils to help enforce Covid-19 guidelines. Intended to help those in high-risk areas, the money will help put extra police on

Asda investment

ASDA’S new convenience offering is to receive “signi�icant investment” following Euro Garage’s (EG) Group takeover from Walmart. The deal by Mohsin and Zuber Issa earlier this month will see the brothers, along-

side private equity �irm TDR Capital, acquire a signi�icant share in the multiple. As a result, EG Group will gain 207 Asda supermarkets and 18 forecourts. They have also promised to invest £1bn over the next three years.

DRS exemptions

A NEW deposit returns scheme (DRS) advisory group has been created to help establish an exemptions process for retailers. The SGF and British Soft Drinks Association have accepted invitations from the

Audit Bureau of Circulations July 2019 to June 2020 average net circulation per issue

Reproduction or transmission in part or whole of any item from Retail Express may only be undertaken with the prior written agreement of the Editor. Contributions are welcome and are included in part or whole at the sole discretion of the editor. Newtrade Media Limited accepts no responsibility for submitted material. Every possible care is taken to ensure the accuracy of information. No warranty for goods or services described is implied.

the streets, and provide support to local enforcement of�icers, stewards and marshals. ACS chief executive James Lowman has called for the funding to be used to help support local shops that are facing abuse from customers.

Go to betterRetailing. com and search ‘jacks’ for the full story

Account manager (new business) Jimli Barua 020 7689 3364

Account manager Adelice Tatham 020 7689 3366

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Go to betterRetailing. com and search ‘DRS’ for the full story

Scottish government to join. The �inal process is expected to be announced in January 2021. Retailers will be eligible if they agree on an alternative return point, or if it is impossible to operate a return point .

@retailexpress facebook.com/betterRetailing

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

megan.humphrey@newtrade.co.uk 020 7689 3357

Covid-19 creates difficulties for stores looking to invest MEGAN HUMPHREY RETAILERS looking to secure investment to expand their business face a tough borrowing market due to Covid-19, experts warn. The comments come as stores reported an increase in offers from short-term loan firms described as the ‘Wonga equivalent for small businesses’. In one example seen by Retail Express, a lender encouraged convenience store owners to take out loans to acquire Christmas stock, though the compound interest would be higher than the margins achieved on goods by the average store.

However, finance specialist and Commercial Plus owner Barry Frost said he had seen a boost in funding applications from neighbourhood stores wanting to acquire a new site in recent weeks. “Convenience stores located in the right area are reaping the financial rewards right now,” he said. Despite none of the applications being approved, Frost urged retailers to ensure all their accounts are prepared properly to maximse their chances of securing funding. “Typically, a lender will ask to see the three-year history of your accounts,” he said. “Don’t have any-

thing unpaid on your bank statements, or direct debits. Make sure you have affordability on your own account and whatever you borrow can be paid back.” Nevertheless, Christie Finance consultant Matthew Gudgeon suggested there is reason for retailers to remain optimistic. “High-street lenders have become more inwardfocused, but opportunities are there for retailers who can demonstrate experience and good cash flow,” he said. “While many banks have closed their doors, retailers should use a reputable broker to approach challenger banks, specialist banks and tier-two lenders. The in-

terest rate may be slightly higher, but retailers can refinance down the line.” Frost added: “Make sure you are borrowing for the

right reasons. The purpose isn’t just to prop the business up and inject cash flow. You won’t be able to do it a second time.”

MULTIPLE-OWNED stores are being forced to adapt in the same way as independent retailers in a bid to fight back against retail crime. The Southern Co-operative’s loss prevention and security services manager, Gareth Lewis, told Retail Express delisting lines and reducing opening hours “all had a positive impact on crime levels at the time”. A survey run by Retail Express earlier this year revealed 54% of retailers had

express yourself “I CAN see why they are trying to do it to avoid another national lockdown. The new restrictions are not going to make much difference to us because even if there is a national lockdown, we still trade as food retailers. We changed our opening hours anyway to open later and the alcohol rules do not impact us. There may be a bit of panic buying if another lockdown happens, but that’s about it. It may impact other retailers, though.” Anita Nye, Premier Eldred Drive Stores, Orpington

FOOD TO GO: The UK food-to-go market is expected to recover by 2021, despite its decline this year, according to analysis by Lumina Intelligence. The report suggests the industry will weather damages brought upon by the pandemic and will be worth £21.2bn by the end of 2021, compared with its £21.3bn 2019 valuation. FOOD BANKS: Around 50 stores have added a food bank collection point following a campaign in support of The Trussell Trust by the Post Office and Payzone (PZ). PZ managing director Andrew Goddard said: “We’re delighted, and many of our outlets have set up food bank collection points this year. We have posters and other materials that can be provided to any outlet that wants to set up a collection point.”

BAD WEEK

been forced to lower their provide a solution, but if stock levels to reduce poten- closing earlier meant our staff tial losses, and 41% were un- felt safer, then we would do it,” able to open later due to their he explained. Lewis has also called for crime threat. When asked if franchise- independent retailers to be owned stores had been ex- more involved in crime-reducperiencing the same trends, tion partnerships. “Independents Lewis said: “The honest answer is yes. A number of years are totally left ago we took the decision to out of any disdelist certain products across cussion,” he said. “There has to be our range, including lager. He added that reducing a way to bring all opening hours in ‘high-risk parties together areas’ had to be done to en- and share data sure colleague safety. “We on incidents that were conscious this wouldn’t take place.”

the column where you can make your voice heard

GOOD WEEK

Go to betterRetailing.com and search ‘food banks’ for the full story

Mults and indies match crime response MEGAN HUMPHREY

STANLEY JOHNSON: The prime minister’s father has apologised after being pictured in a newsagents without a face covering. Photographs in the Daily Mirror this month showed him breaching regulations that members of the public must wear a mask while in stores. Johnson claimed he may not have been “100% up to speed” on the current rules after a three-week trip aboard. ESSITY: Personal care manufacturer Essity reduced planned promotional activity in the convenience wholesale channel, causing price rises up to 20%. A source from a leading wholesaler claimed the RSP on an Essity Plenty Kitchen Towel line would rise from £2.50 to £3. A spokesperson for Essity said: “For household toiletries specifically, the latest 12-week IRI data shows rolls are up 10% across the category, with Plenty demand double this at 21%.”

How will the government’s new three-tier Covid-19 restrictions affect you?

“THE new restrictions are too little, too late, and I am certain that this in turn will lead to yet another round of restrictions in the months to come. As for retail, the additional impact on us in the south-west (which is a tier-one area) will for the time being be minimal, but things are nevertheless challenging at the moment due to reduced footfall, customers tiring of social distancing and general uncertainty.” Les Gilbert, Chard Newsagent, Somerset

“WE’RE not quite as bad as Manchester, but I have the feeling that it might be like that soon. If we do go into the highest tier, then I’d imagine that alcohol sales will take off because the pubs would be fully closed. There’s also the possibility that people would start to panic buy again like they did in March at the start of the first lockdown. It’s a case of waiting to see what happens and keeping an eye on stock levels.” Graeme Pentland, Ashburton Village Stores, Newcastle upon Tyne

Do you have an issue to discuss with other retailers? Call 020 7689 3357 or email megan.humphrey@newtrade.co.uk

Les Gilbert

NEWS

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

Store raises £10k Covid-19 fund HELENA DRAKAKIS A COMMUNITY hardship fund set up by an Edinburgh retailer has raised more than £10,000 to help vulnerable customers struggling during the Covid-19 pandemic. The fund set up by Dennis and Linda Williams, of Broadway Convenience Store, grew from offering free sandwiches to vulnerable customers

after lockdown hit. Dennis told Retail Express: “Soon after, customers started donating money, so we set up an online Facebook donation page. Customers also gave us cash – one gentleman even donated £500, and we have another customer who donates the change from his shop every week, which amounts to around £10.” As soon as the fund was announced on Facebook, do-

nations topped £300 within 45 minutes. The store’s Facebook page has almost 2,400 followers and, to date, 289 people have donated online, with a further 323 followers sending out invitations to friends and family to support the store’s scheme. To administer the fund, the convenience store has partnered with local GP surgeries and social workers and carers of vulnerable people.

IT’S ANYTHING BUT AVERAGE

2020 BENCHMARKING IS NOW OPEN!

#IAA20

ASSESS. COMPARE. IMPROVE. Benchmark your shop with the Independent Achievers Academy and you will: See how your store(s) compares to your peers Identify your strengths and opportunities to take your shop to new heights Become part of a network of hundreds of forward-thinking retailers New for 2020: Immediate comparisons with 2019 average scores No need to re-enter your shop details if you took part last year Results and areas for improvement sent directly to you once benchmarking is complete New category: Environmental Sustainability

My takings have gone up as a result of benchmarking – it’s a great way to be proactive and to make sure you don’t fall behind. Steven Mahal, Arnold Premier Stores, Nottingham

Visit betterRetailing.com/IAA or call the IAA team today on 020 7689 0500

“We know of people who are really struggling, but there’s a lot of pride and they won’t always ask. Now their support worker comes in, picks up their groceries and the fund automatically pays for the shop,” added Dennis. The fund also helps customers struggling with their �inances during lockdown by helping towards gas or electricity top-ups and bills. “People have been so gen-

erous. It’s not just been a great story for us, it’s been

great for the community and easy to set up,” he explained.

‘Stores can become more dyslexia-friendly’ RETAILERS have been encouraged to gain a better understanding of dyslexia to ensure they are viewed as inclusive businesses. Dyslexia Awareness Week (5-11 October) highlighted ways employers can become more dyslexia-friendly. Director of Dyslexia Assessment & Consultancy Katherine Kindersley advised store owners to ensure any signage is clear and easy to read; to avoid blocks of text in item descriptions; and to reduce sensual distractions such as

unnecessarily bright lighting and loud music.

LOO ROLL AND CAN SALES SOAR

THE number of transactions on some core toiletry and tinned lines in convenience stores increased in the past month, in line with reports of panic buying at supermarkets. According to The Retail Data Partnership, Andrex Classic Clean White saw a 9% increase month on month, and Euro Shopper Baked Beans rose by 8% month on month in the four weeks ending 20 September.

Chair appointed for PO Horizon scandal review A RETIRED high court judge has been appointed as chair of the government review into the Post Of�ice Horizon scandal. Sir Wyn Williams is overseeing the inquiry, which will look into whether enough has been done to address the mistakes that led potentially thousands of subpostmasters to be wrongly accused of theft due to till system errors. However, critics including the Communication Workers Union said it lacked the legal powers promised when

prime minister Boris Johnson �irst promised the inquiry.

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PRODUCTS

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

Sterling rolling in pouch format PRIYANKA JETHWA JTI has relaunched its Sterling Rolling Tobacco 3-in-1 box, available now in a pouch format, as the demand for convenient alternatives grows. Currently, mini pouch tobacco is highly compressed, and the box format and size makes it difficult for smokers to carry on the go. The new format will provide a more portable option. The pouch contains a full rolling kit, including 30g of tobacco, 100 papers and 77 filter tips. It will have the same RRP of £12.30 as before. With Sterling rolling tobacco commanding a 29.2% share in the value roll-your-

own sub-category, the new pouch taps into the demand for convenience and value. The supplier said the new product will also benefit independent retailers, with a lower trade outer cost versus the box format. Dan Legate, brand manager of conventional tobacco products at JTI UK, said Sterling rolling tobacco is the UK’s fastest-growing tobacco brand. “The pouch aims to alleviate issues surrounding convenience and portability for consumers, while staying true to Sterling’s quality. We’re confident the pouch will meet this consumer demand and become a strong driver for Sterling rolling growth.”

Players must be 16+ to buy or claim a prize for all National Lottery products

Cook Republic’s vegan ready meals

Playful new ad from Oreo cookies

SWIFT Fine Foods has launched a range of premium vegan ready meals under a new brand called Cook Republic. Available through Nisa and Costcutter with an RRP of £4.49, the range includes Tofu, Garlic & Bok Choy Noodles; Black & Red Lentil Casserole; Roast Aubergine & Couscous; and Cauliflower & Chickpea Tagine. The supplier said 24% of consumers are actively looking for vegan or vegetarian products, and the range is designed to cater to this growing demographic.

MONDELEZ International’s new campaign for Oreo, ‘The playful network’, will celebrate the achievements of different people during lockdown. Taking inspiration from telephone company websites, it will parody their grand claims, promising to ‘supercharge your connectivity’ thanks to a ‘cutting-

edge connection device’ – an Oreo cookie. The website will give shoppers the chance to win £1,000-worth of experience vouchers. To be in with a chance of winning, fans must use social media to show how they’re connecting with friends and family members in creative ways, featuring an Oreo cookie.

ACCEPTABLE FORMS OF IDENTIFICATION l Passport l Photo Driving Licence l Military ID Card Or any ID which has the PASS logo, e.g. Citizen Card

sponsored

Facial recognition by Facewatch FACIAL recognition is fast becoming the most affordable and effective way to reduce crime and antisocial behaviour in store. With a rapid rise in antisocial behaviour during the pandemic, facial recognition is an effective way to protect your staff and profits. Facewatch can reduce shop theft by 25% in the

first 90 days (35% in the first year) by guaranteeing to reduce antisocial behaviour, and is GDPR compliant. It also works with face masks and uses a mobile phone app for alerts.

To get this all for £199 per month, contact Michelle Henchoz at enquires@facewatch. co.uk, or on 0207 930 3225.

Homecare, but with a dash of festivity UNILEVER has added three limited-edition festive fragrances to its Comfort, Domestos and Surf ranges. The new seasonal winter range is available now, and includes Surf Frosted Pine & Apple Liquid Detergent 25 washes (RRP £3-5.50), Domestos Frosted Pine Power 5 Rim Block 55g (RRP £1) and the return of Comfort Creations Frosted Pine & Apple Fabric Conditioner 36 washes (RRP £4). The matching packaging across all three will reflect Christmas themes.

It is against the law to sell National Lottery products to anyone under the age of 16

BE ALERT – TRAIN YOUR STAFF. REMEMBER: PPE OBSCURES THE FACE IF IN ANY DOUBT – ASK FOR ID

Always challenge customers for ID when unsure of their age

ACADEMY IN ACTION The Independent Achievers Academy is a learning and development programme that helps to increase sales and profits. Academy in Action shows how retailers like you are working with our partners to use the Academy’s advice.

We’re here to help. Call 020 7689 0500 Name: Shop: Location: Size: Staff:

Shailesh Patel Chelsea Food Fayre (Londis) London 1,000sq ft Nine full-time

PARTNER ADVICE

STAFF DEVELOPMENT In part three of a 12-part series, the IAA and BAT’s MUSTAFA ZAIDI visit SHAILESH PATEL’s Chelsea Food Fayre (Londis) in London to give him great ideas to develop his staff

WITH the biggest range of magazines for miles and an expansive range of hot food and grocery, Chelsea Food Fayre has been a destination on Kings Road in Chelsea for 40 years. While the store benefits from its proximity to local businesses and high-income shoppers, the business also faces a threat – a 30% rent increase that will have to be made up in sales. Shailesh Patel has a team of nine people that keep the shop running from 5am-1am every day, which only reduced to a 10pm close at the height of the pandemic. To make up the cost of the rent, he’ll need to create a development plan to motivate them to face the challenge.

Want to see more? For more on how to improve your store and to see more of Shailesh’s shop, go to betterRetailing.com/Academy-in-Action

Shailesh now has a strong staff development plan in place and we’ll make sure his BAT rep – Kojo – supports him with it when he visits. Mustafa Zaidi Retail Engagement Manager British American Tobacco

YOUR ACTION PLAN 1 Walk your shop

This is designed to be used to help you think like a customer

2 Benchmark your shop

WHY I TAKE PART It’s always good to get a second pair of eyes on your store, and Mustafa and the IAA have given me some great ideas to try with my staff. I’m nervous and excited by the challenge, but I’m looking forward to trying out different things to motivate them and find out what works. Hopefully I’ll then, in turn, see improvements in my store that will lead to an increase in sales.

IAA ADVICE Helping staff to understand what’s expected of them

Rewarding staff to get the best out of them

Motivating staff and creating a team ethic

Shailesh has high standards, but struggles to make sure tasks like facing up are carried out regularly. What can he do to encourage his staff to do this on a regular basis?

Most of Shailesh’s staff have worked with him for years and need encouragement and motivation to constantly go the extra mile. What should he do?

Shailesh wants to let his staff know when they’ve done a good job. He also wants them to share their successes and encourage them to be proud of their work. How can he do this?

Mustafa says: “Having your store’s priorities clearly written down and split between the team is a great way to make sure your staff are on the same page. You can even use an acronym to make sure they are memorable and ask a customer to report back as a mystery shop to test how you are doing.”

Mustafa says: “Rewarding your team doesn’t have to cost a lot if you get creative and offer things like time off. Try setting up a challenge to encourage sales of high-margin items and reward the person with the most in a month. Any target set needs to be measurable.”

Mustafa says: “Inspiring your staff’s competitive nature is a great way to drive performance. Try setting up a WhatsApp group so they can share photos of great displays they’ve created. This will also enable you to keep staff informed and publicly praise them.”

ACTION Create a rota to document basic processes for team members.

ACTION Set up a challenge to reward staff for great performance.

ACTION Encourage staff to show off their hard work and publicly praise their efforts.

Use the checklist below, ticking all you see evidence of

Have the correct paperwork so staff know what’s expected Train and induct staff to ensure they can fulfil their roles Reward and recognise staff to get the best out of them Review and develop your team to fulfil their potential Have day-to-day processes to ensure smooth operations

3 Pick one thing to improve Write it down, implement it this week and let us know how you get on using #IAA20

CREATE A THRIVING TEAM Visit betterRetailing.com/IAA to better train, develop and reward your staff, and see how you can improve in 11 other categories

Next time: Digital Engagement

PRODUCTS

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

Mixed Berry joins PMP range PRIYANKA JETHWA CARABAO has launched a price-marked pack (PMP) for its Mixed Berry flavour, with an RRP of 69p. Available from major wholesalers from the end of November, it will sit alongside other varieties in the supplier’s PMP range – including Green Apple, Original and Mandarin Orange – which have seen sales growth of 46% in the past 12 weeks in impulse stores. Mixed Berry is currently the numbe- two energy launch in the market for 2020, after being introduced in March. Speaking of the launch, Mark Tanner, head of independents and wholesale at

Carabao UK and Ireland, said: “We’re delighted to add Mixed Berry to our PMP range. As we battle the effects of economic recession, we would expect the shopper demand for PMPs to grow. “The launch of our new PMP variety will provide value for our customers, and continue to deliver good profit margins for convenience retailers and wholesalers alike.” Meanwhile, Carabao has continued its commitment to football sponsorship with its fourth year as title sponsor of the Carabao Cup, as well as being an official Global Partner of Chelsea FC. The new cans are available from Unitas, Sugro, Confex and Spar wholesalers.

Being a responsible retailer benefits you and your customers. It means only selling National Lottery products to people over the age of 16 and giving a player handout to anyone who may need help with their play.

New Naked rice pots from Symington’s

Andy Murray in new Old El Paso ad

SYMINGTON’S has added a range of dairy-free rice pots to its Naked range, available in Japanese Style Katsu Curry and Thai Style Green Curry varieties. On sale now with an RRP of £1.30, the pots promote that they contain less than 3% fat and are under 320 calories each. It follows the brand having launched its biggest marketing campaign to date, ‘Slurp loud & proud’, which included social media and outdoor advertising, showcasing the new packaging.

OLD El Paso has teamed up with British tennis player and sports personality Sir Andy Murray to support the launch of its Tortilla Pockets. In the campaign, #Messfreechallenge, Murray will put the new ‘mess-free’ wraps to test in a sports

You can discreetly print and give a player handout to anyone who may ask you for help or who you suspect may need help with their play. Simply press the RESPONSIBLE PLAY button on your terminal home screen, then press PRINT. This includes details on GamCare and our Healthy Play web page, where players can take a test to find out what kind of player they are.

Flora signs new sponsorship deal FLORA has signed a fouryear deal to be a sponsor of the Virgin Money London Marathon, which took place on 4 October. To celebrate the ongoing partnership, the brand has teamed up with three-time London Marathon winner and World Record-setter

video, and will post it on his Instagram and Twitter accounts. To celebrate the launch and partnership, both Murray and Old El Paso will also donate 20,000 Meal Kits to FareShare to help feed UK families in need.

WHAT TO DO IF A PLAYER ASKS FOR HELP OR YOU ARE CONCERNED ABOUT SOMEONE

Paula Radcliffe as part of its ‘Get towns active’ campaign, inspiring consumers to stay healthy, which will run on social media. The brand will also be rolling out on-pack messaging in 2021 in support of the London Marathon partnership, with in-store activity planned.

Find all four to win a PlayStation 5 PEPSICO has unveiled an onpack promotion for Doritos in partnership with Sony Interactive Entertainment. ‘Find all four, win a PlayStation 5’ offers shoppers the chance to win a PlayStation 5, and will run across the brand’s Chilli Heatwave, Tangy Cheese,

Cool Original, Flame Grilled Steak and Flamin’ Hot Tangy Cheese varieties. To enter, shoppers need to find four virtual chips in limited-edition packs. Shoppers will then need to enter the on-pack code on doritos.co.uk to see if their entry reveals all four shapes.

Freephone 0808 8020 133. www.gamcare.org.uk

PRODUCTS

Monster targets online gamers PRIYANKA JETHWA COCA-COLA European Partners (CCEP) has launched a promotion for Monster Energy in partnership with Microsoft’s new 2021 Halo Infinite game. It will be rolled out across its Original, Ultra White, Mango Loco and Pipeline Punch varieties, and codes will be found under the ring pulls of single and multipack cans. Consumers will be encouraged to collect the codes, which they can exchange for 30 minutes of ‘double XP boost’ to use in the game’s multiplayer modes. Running until 31 March 2021, shoppers must enter

their codes on a Monster microsite, which will then be uploaded to their Xbox Live account. Alongside the in-game reward they will receive collectable Monster-branded content that will be added to their inventory, and avail-

able in-game when the game is released. They’ll also be entered into a prize draw to win exclusive prizes, including the new Xbox Series X console. Simon Harrison, vice president of commercial development at CCEP GB, said:

“Gaming is a fast-growing part of the entertainment industry – accelerated during lockdown. At the same time, the Monster brand has grown in value by 14% over the last year, and has delivered the most value growth to the energy segment.”

Estrella Damm unveils green campaign ESTRELLA Damm’s new TV and social media campaign reinforces its commitment to sustainable practices in order to protect the oceans and environment. The two-month campaign aims to raise awareness of environmental issues and the need to act to save the Mediterranean Sea from pollution.

The campaign includes a 70-second film titled ‘Soul’, which will run on Channel 4 and Sky Media channels, as well as digital platforms ITV Hub, All 4 and Sky Video on Demand. The advert will be supported by a wider social media campaign across YouTube, Instagram and Facebook.

Red Bull’s got air mail Mondelez cuts back A free gift with every on plastic use by 15% pack of Wall’s Pastry in new promotion RED Bull has launched a new on-pack promotion, ‘Air Mail’, available to convenience retailers now, and to supermarkets from November. The limited-edition sleeve will be available on Red Bull Energy 250ml four-packs. Once opened, the inside

of the pack will become a postcard to send a sample to a friend or family member, who can then enter a code online to redeem a four-pack for themselves. The promotion will be supported by an in-store and digital campaign.

MONDELEZ International is reducing the packaging across its Cadbury sharing bags by 15%. As part of the company’s ‘Pack light and pack right’ packaging strategy, Giant Buttons, Caramel Nibbles and Bitsa Wispa large sharing bags in the UK will contain the same number of

treats as before, but in a new pack format. The supplier told Retail Express that the reduction in packaging only applies to those brands listed, and other varieties in the Cadbury sharing bags range will remain unchanged. The RRP for all varieties will remain unchanged

WALL’S Pastry is giving consumers a chance to win a £1,000 UK holiday voucher as part of its new on-pack promotion. The ‘Free gift with every pack’ promotion will run until mid-December across

its Snack Sausage Rolls (available in packs of four, 10 and 12), Classic Pasty, Jumbo Sausage Roll, Vegan Jumbo Roll and a selection of its slices, including Chicken & Mushroom, Chicken & Bacon and Peppered Steak.

Skittles brings back A wintery scare from Hardys launches the Sweet Heat Kerry Foods money-back guarantee MARS Wrigley has announced the return of limited-edition Skittles Sweet Heat. Available in a 196g pouch, the spicy Sweet Heat range has an RRP of £1.49. The supplier claims that limited-edition sweets are ideal for Halloween, and will

help retailers make the most of themed big nights in. Skittles assistant brand manager Sophie Bryson said: “New lines play an integral part in the growth of the confectionery category and Skittles is driving 30% of current category value growth.”

KERRY Foods has launched limited-edition Scareshapes and Wintershapes as part of its Strings & Things Cheeshapes Quirkies range. The range will feature seasonal designs, including in-pack games and jokes, and new shapes such as a witch’s hat, ghost faces and snowflakes. The supplier said Halloween is the third largest shopping occasion, and 86% of consumers purchase cheese over the Christmas period. Both varieties are on sale now with an RRP of £1.50.

ACCOLADE Wines is promising a money-back guarantee on its Hardys wine range as an extension of its ‘Certainly’ campaign. Running until 31 December, the guarantee is available across selected 75cl lines,

with the offer advertised across 5.5 million neck tags. It will be supported by PoS and online advertising. Around 27% of the year’s wine value sales occur during the 12-week runup to Christmas.

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

IS YOUR STORE DOING ENOUGH TO PREVENT Molson Coors rebrands PG Tips launches new UNDERAGE Plus vitamin range Coors Light to Coors SALES? MOLSON Coors is rebranding Coors Light to Coors from March 2021, while committing to a multimillion-pound investment in the UK to drive growth in the premium 4% beer category. With aims to become a topfive UK beer, the supplier said it will also be expanding its range next year by introduc-

ing a new Coors product from the US, Coors Original, to the UK market. This investment will build on the back of its ‘Keep it fresh’ campaign, which showcases the brand’s Rocky Mountain heritage. The rebrand will also be supported by new packaging and PoS material.

PG Tips Plus is the latest innovation from Unilever, designed to help reduce tiredness, and support a normal immune system and metabolism. The range comes in three varieties, including Plus Caffeine, Plus Immunity and

Plus Metabolism, all with an RRP of £2.50 (20 bags). Senior brand manager Charlotte Ridley said the functional tea category is expected to grow by 5.5% by 2022, with the tea positioned to broaden the appeal of black varieties among consumers.

40%

of underage sales occur because staff ‘didn’t consider asking’

11%

due to staff being under 18 and unwilling to challenge

Raspberry Lemonade Fruity vodkas from JJ Whitley exclusive to indies AVAILABLE exclusively to independent retailers, WKD has expanded its range to include a Raspberry Lemonade flavour. Sold solely in £2.99 price-marked 700ml bottles, the ready-todrink beverage has an ABV of 4% like other varieties in the range, and will target the brand’s core audience of 18-to-24-year-old shoppers. It will be supported by a range of in-store PoS, and a social media campaign reaching over one million consumers.

HALEWOOD Artisanal Spirits has expanded its JJ Whitley Vodka range with two new flavours: Peach & Apricot and Apple & Lime, RRP £16. The supplier said the new additions will provide retailers with a premium flavoured vodka offering to tap into the growing flavoured vodka category, where consumers are looking for options with an accessible price. The 70cl premium, embossed bottles have an ABV of 38%.

retailers profit from block noodle formats, which are now worth £75m and growing at 18.2% year on year. It will be supported by a £3.5m campaign, including TV, video and digital.

A SURREY retailer is celebrating after winning £25,000 for his store – as well as £25,000 for a charity – through Mondelez International’s ‘Win-win’ campaign. Kandasamy Mugunthan, who runs Chart Downs News in Dorking, Surrey, found the winning ticket in a case of Curly Wurly that

due to staff being new in role

15% due to staff being busy/ distracted

It is against the law to sell National Lottery products to anyone under the age of 16

BE ALERT – TRAIN YOUR STAFF. REMEMBER: PPE OBSCURES THE FACE IF IN ANY DOUBT – ASK FOR ID Source: Camelot Mystery Shopper Data: March 19 – April 20

E-learning training modules You can access more content about Healthy Play online to help ensure all staff are fully trained. Follow these simple steps:

Lost The Pot Noodles Mondelez unveils launch in 99p PMPs competition winner UNILEVER has added 99p price-marked packs (PMPs) of Lost The Pot Noodles to its range. The PMPs will be available to convenience retailers across Roast Chicken and Curry flavours, designed to help

17%

he bought from Booker Redhill in September. Mugunthan has owned Chart Downs News for just over a year, and will put the prize money toward a full refurbishment of the shop he’s been planning since he took it over. “It’s amazing to win this prize, and the timing couldn’t be any better,” he said.

l Visit www.TNLRetailerhub.co.uk l Click on the E-learning banner l Click on healthy play and/or preventing underage play l Test your knowledge by completing the quizzes

Source: Camelot Mystery Shopper Data: 2019-20

OPINION

IAA #COMMUNITYSTARS

RETAILER OPINION ON THIS FORTNIGHT’S HOT TOPICS

What do you think? Call Retail Express on 020 7689 3357 for the chance to be featured DRS: What should the exemptions process look like for retailers? “ANY process has to be clear cut with no grey areas, and good proof of reasons need to be sought. Personally, I think all retailers should attempt it, although I realise there will be some exemptions. If we don’t do it, customers will walk with their feet and look elsewhere.” David Woodrow, Woodrow’s Newsagents, Bishopton

The Independent Achievers Academy (IAA) joined Jacqui Dales, of London Road Bakery (Spar), to reveal how she develops and empowers her staff, and excels in customer service. Here are three lessons you can learn

FOOD TO GO: How has people working from home had an impact on your sales?

When the living wage increased, Jacqui introduced a performance-related bonus scheme to reward and develop staff. The scheme focuses on customer service, legal compliance and relationships.

Jacqui created detailed job descriptions for each role, such as a supervisor or sales assistant, so staff know what’s expected of them. As a result, productivity has increased by 10%.

Offering great customer service is at the heart of Jacqui’s store. Jacqui and a team member implemented a customer service strategy, embedded throughout the business, including inductions and appraisals.

JACQUI’S TOP IDEA “Implementing a performance-related bonus scheme has empowered staff to focus on their own personal development and has been a way to reward hard work.” Join the IAA on 28 October for an interactive session with Chris Tomes, owner of Costcutter Swanage in Dorset, on how he has driven food to go sales throughout the pandemic. Read the full coverage of Jacqui’s discussion at betterRetailing.com/jacquidales-communitystars

Dennis Williams, Premier Broadway, Edinburgh

No one should be forced to house the machines

KEY TAKEAWAYS 1

“THE exemption process shouldn’t be difficult, and no one should be forced to house the machines. There will be people who feel their stores are too small and having a machine outside risks damage. I would encourage retailers to take it, but it must be up to the individual.”

People are ordering lunch subs from home

“IN March, food-to-go fell off a cliff. We were down 60%, but we’ve got it back to around 5% down. I don’t think we can hope for more. Lunch is back, but the 5pm-7pm rush is still slow. Interestingly, we’ve been doing well on our £17-19.99 afternoon tea takeout packages.” Terry Mulkerns, Eurospar, Newry, Northern Ireland

“MY in-store food-to-go footfall is down, but the delivery side is good. I’ve been using Snappy Shopper and people are ordering breakfast rolls and lunch subs from home, alongside other groceries. Because I have an app, I’m attracting custom from outside the area, too.” Ferhan Ashiq, Prestonpans Village Store, Fife

COVID-19: How will Scotland’s new restrictions impact you? “WHEN lockdown first happened, we benefited. People recreated movie nights and entertainment at home, so alcohol and snack sales were up. We are hoping that the same will happen, but we are also aware of the devastating impact this may have on the hospitality sector.” Abada Akhtar, Premier Smeaton Stores, Kirkcaldy

“WE have been up by £10,000 a week and that’s mainly due to multipack alcohol and spirits. We are not expecting quite the same rush, but we’re putting extra orders in. People might say we have been lucky, but we worked hard at our delivery arm before Covid-19.” Natalie Lightfoot, Londis Solo Convenience, Glasgow

We worked hard at our delivery arm before Covid FACE MASKS: What is your view on Stanley Johnson not wearing one in a shop?

No one knows if Stanley Johnson is exempt

“IT’S not helpful and I’ve heard people say: ‘Well, politicians are not wearing them.’ But, we have been reminding people in a good-humoured way. We make a joke of it if they come through the door without a mask. I’ve also put hand sanitiser out.” Trudy Davies, Woosnam & Davies, Llanidloes, Wales

“NO one knows if Stanley Johnson is exempt, so it could be political point-scoring, but if you are in the public eye then you should set an example. We decided not to police mask-wearing and thankfully around 95% of customers are following the rules.” Anita Nye, Premier Eldred Drive Stores, Orpington, Kent

LETTERS

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

Advertorial

Letters may be edited

Jemma Healy

‘There are always issues when I try to backdate my rewards from Mars’ I AM part of the Mars Rewards programme. In 2017, I didn’t have a rep assigned to my local area and nobody was willing to help me out with missing rewards. However, once I wrote a letter to the managing director and regional manager, everything was sorted. The same problem occurred in 2018, and 2019. I was told by my rep at the time

that Mars were not able to backdate my rewards, despite an article in Retail Express claiming they would. I am part of other reward programmes, and they have always backdated rewards. They did this after claiming the rep didn’t come into my shop, so therefore it wasn’t my fault. It’s frustrating that this keeps happening, and I’m try-

WIN Haribo Christmas stock

ing my best to sort it out, but nobody replies to my queries. Paresh Amin, Newscentre, Basingstoke, Hampshire

A Mars Wrigley UK spokesperson responded: “Mars Wrigley provides inperson and digital support to retailers with insight and advice that helps stores to grow their opportunities in

“

the confectionery category. We’re investing in technology to ensure that category advice and tailored offers are available in the most convenient ways, and given the challenges of 2020, the safest way for retailers. While we’re unable to discuss the detail of individual accounts, we’ve been in touch with Mr Amin and will be following up with him to hear his concerns.”

COMMUNITY RETAILER

OF THE WEEK

Vince Malone – @VinceMalone

‘We send unsold stock to charity’

Category controller, Suntory Beverage & Food GB&I

Sustainability: the first changes to make AT the start of the year, we announced we’d be partnering with Energy Saving Trust to make changes in Amit Patel’s 900sq ft store in Sandiacre, Derbyshire, to help show you how you can start your own sustainability journey. #GoodForBusiness In our first visit to Amit’s store, we walked his shop and looked for anything that drained energy. We identified three simple changes to highlight how starting to make an impact on your store’s energy use is easier than you think. These changes will help make the shopping environment more pleasurable for his customers, as well as decreasing Amit’s overheads – making them truly good for business. Replacing the behind-the-counter heater We replaced Amit’s old mini 8OOW oil-filled radiator with a new halogen heater with three power settings, costing only £30. Switching between the three settings will allow staff to be kept warm more effectively and efficiently. Replacing the front door By installing a new door-closing mechanism, costing £500, we ensured that the door doesn’t blow open – making customers more comfortable and keeping heat in, thus using the behind-the-counter heater less often. Upgrading the CCTV monitor We replaced Amit’s old 32-inch screen with a more energyefficient model, with a power rating of 30W, costing £149. For a screen that’s on for 12 hours a day, 360 days a year, this could save up to £80 per year. If the UK’s 46,388 convenience stores made just one simple alteration around their use of screens in store, it could result in astonishing total savings across the channel of up to £3.7m per year.

TO celebrate the countdown to the festive season, and the launch of its seasonal confectionery range, Haribo is giving five lucky retailers the chance to win £50-worth of Christmas stock. Perfect for sharing, gifting and impulse sales are Share The Fun Tub, Starmix and Tangfastics Tubes, and Giant Trees.

TO ENTER Fill in your details at:

betterRetailing.com/competitions Our competitions remain online for four weeks from publication date. Editor’s decision is final.

WE have been donating unsold stock that is close to its sell-by date to local charities recently. We have donated strawberries, tinned goods, sweets, crisps, biscuits and a whole selection of items that they can use to make gift baskets. We have just teamed up with a local charity called PATCH – which gives food, clothing and household goods parcels to people in financial crisis in the area – to be a drop-off point for their Christmas toy campaign in which they are collecting toys for families for Christmas.

#GrowingForGood As store owners, you know you need to keep moving forward to grow your sales. Our work in Amit’s store reflects the Suntory vision of Growing For Good: by doing good things for society and the environment, we will help make a better, brighter future for all. This is a project that truly is #GoodForBusiness and #GrowingForGood. Look out for the 17 November issue of Retail Express, where you’ll be able to find out how we introduced the first big change in Amit’s store. You can also follow our updates on @SuntoryBF_GBI. Hopefully they will help give you ideas on how you can continue your own sustainability journey.

DONâ&#x20AC;&#x2122;T MISS THE NEXT ISSUE OUT

30 OCTOBER

Top tips to get price-marked packs right this winter PLUS

How to ensure your cigar range is getting results for your shop

The best independent retailers stay ahead by reading RN each week. Do you? ORDER YOUR COPY from your news wholesaler today or contact Kate Daw on 020 3871 6490 TO ADVERTISE in RN, please contact Matthew Oliver on 020 7689 3367

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FORECOURT FOCUS

Learn how this retailer gets ideas from around the world p16

Asda acquisition signals a ‘healthy time’ for forecourts DARYL WORTHINGTON EG GROUP and private equity firm TDR Capital have agreed a £6.8bn deal to acquire Asda from Walmart. Based in Blackburn, EG Group was founded by brothers Mohsin and Zuber Issa. It operates petrol stations and fast-food outlets in Europe, the US and Australia. “After a successful period as part of Walmart, we are looking forward to helping Asda build a differentiated business that will continue to serve customers brilliantly in communities across the UK,” said a statement from the Issa brothers. Back in September, Asda announced it was to enter the convenience market alongside EG Group. This included trials of its new ‘Asda On the Move’ convenience

branding at EG Group fuel station forecourts in Ashby, Leamore and Primley in the Midlands. The first of these, the Primley Service Station on the A454 in Walsall, opened in October, with the others set to start trading later this month. What does it mean for independent forecourts? According to competition advisers Aldwych Partners, prior to the acquisition, EG Group was the fourth-largest petrol station operator in the UK, and Asda the sixth. “The deal seems likely to spark interest from the Competition and Markets Authority (CMA) due to the potential effect on competition in both fuel sales and convenience retailing,” according to a blog post on the Aldwych Partners website.

New inspection service for EV charge points BUREAU Veritas has unveiled a new testing and inspection service for electric vehicle (EV) charging points. The electrical safety specialist has made the move in response to figures showing that almost 9,000 new connections have been installed in the UK in the past year. Statistics from Zap-Map show there are 33,779 charge points for electrical vehicles around the country. The inspection service for EV charging points aims to help duty holders ensure all

installations are compliant with the Electricity at Work Regulations 1989 and the BS 7671 Requirements for Electrical Installations (IET Wiring Regulations). “Although we’re seeing a record number of EV charging points springing up, the onus is on duty holders to ensure they take a ‘quality first’ approach to installation, prioritising electrical safety for users and the public through regular inspection and maintenance,” said Michael Kenyon, technical lead at Bureau Veritas.

“While post-transaction Asda and EG may be separately managed, their shared ownership may well be enough to affect their willingness to compete with each other.” Meanwhile, Nick Bywater, associate director of Christie’s retail team, says the deal points to a healthy time for the petrol forecourt sector. “The bid for Asda is a logical move for the Issa brothers and signals a continued focus on convenience retail,” he said. “With profits from forecourt convenience increasingly outstripping profits from petrol and diesel sales, what better way to future-proof your forecourt business than to fully integrate it with a supermarket business that has the third-largest grocery market share in the UK?”

“Throughout lockdown, we have seen a consistent interest in forecourts coming to the market and convenience stores have become the cornerstone of accessible local retail.

Scania enters electric truck market VEHICLE manufacturer Scania has added a fully electric truck and a high-performance plug-in hybrid to its vehicle range. They mark the company’s first series production range of electric trucks. “Looking ahead, we will annually launch electric vehicles for the entire product range, and we are presently reorganising our production towards that end,” said Henrik Henriksson, Scania president and CEO. “Of particular significance

is that, in a few years’ time, we will also introduce longdistance electric trucks adapted for fast-charging during drivers’ compulsory 45-minute rest periods.” The company’s UK sales director, Vincente Connolly, said that electrification of the heavy vehicles market is vital for meeting the Paris Agreement’s 1.5°C limit on global warming. With this in mind, he anticipates e-vehicles will become “an increasingly attractive option for progressive customers”.

“Our own data shows there is a clear pattern emerging with an increase in new buyer registrations on christie.com, suggesting an increase in activity, with buyers actively returning to

the market,” he added. “This sustained demand is also resulting in vendors frequently achieving or exceeding the asking price for their retail business across the market.”

Three months of fuel price rises come to a halt THREE months of rising fuel prices finally came to an end in September, according to analysis by RAC’s Fuel Watch, with a full 55-litre tank costing drivers £63 on average – £7 less than in January. According to the figures, the average price of fuel sold by the big four supermarkets still stands at 109p a litre and diesel 113.93p. However, motorway fuel prices went up in September, with petrol increasing 2.57p a litre to an average of 126.72p across all sites. Die-

Have you made any big changes in your forecourt that have grown your sales and profits? Let us know on 020 7689 3390 or at editorial@newtrade.co.uk

sel went up 1.83p to 131.14p. “After three months of rising fuel prices, drivers will be relieved to see the cost of both petrol and diesel staying the same,” said RAC fuel spokesman Simon Williams. “Since June, when prices stopped falling as a result of the coronavirus movement restrictions being eased, the cost of fuel has been going up steadily. While price rises are never good news, they have not gone back to the high levels seen at the beginning of the year.”

FORECOURT FOCUS PROFILE

Building an experience DARYL WORTHINGTON SHAHID ‘Danny’ Ahmed has a clear goal in mind when it comes to running a forecourt and building footfall and customer satisfaction. “I want shoppers coming into one of my stores to have an experience,” he explains. “But to do that, you need to know your customers, and know your area. Not everyone is the same, so you need to make sure you’re getting the right balance between offering something different while meeting the area’s needs.” Danny has worked in forecourts

for years, and took the plunge to taking on his own business in 2013. He now owns multiple sites, including one close to Birmingham city centre, and his most recent addition, Costcutter Crankhall Lane Service Station in Wednesbury, West Midlands. “Before taking on a site, it’s important to do a lot of research,” he says. “That’s what we did before I started in Crankhall Lane. We researched the area and got a feel for what customers wanted. For instance, if the site is near a major road, you need to check if it’s subject to closures and how that would affect your profitability.”

This year has seen an ambitious refit, which included expanding the store, installing new fridges and freezers and adding in more than 100 new lines. Most impressively, this drastic refit was completed in March, despite the disruption of the Covid-19 lockdown. “I want my stores to offer a range of options, but also a strong point of difference,” he continues. “Take hot beverages – our Birmingham store has a Costa Coffee machine, which is popular with taxi drivers, but we also do a homemade Desi tea. People travel from miles away to try it as they can’t get it anywhere else.”

Danny Ahmed, of Costcutter Crankhall Lane, Wednesbury, West Midlands

Search for inspiration

Delegate responsibility

Reach out to shoppers

DANNY is always on the lookout for new ideas to try in his stores, such as new products or services that will make his forecourt stand out and stick in shoppers’ minds. “We’ve just set up a sweetcorn stand in the store,” he explains. “It’s a simple idea but works really well. I saw it at a festival a few years ago and knew it was a great idea to get in the store, especially ahead of the winter.” Travelling abroad has proven another valuable source of inspiration. “I love going to Dubai, and every time I’m out there, I’ll always pick up a new idea for the shop. Ireland has also been another big source of inspiration. “A lot of forecourts out there are almost like mini supermarkets in terms of the range of things they do, and we’ve tried to take that on board.” Meanwhile, both his sites also have a launderette service on site, an idea he got after seeing it in action in Paris.

DELEGATION and putting trust in his team has proved vital for Danny. What’s more, he’s found it can be a great source of new ideas. “The whole left wing of the Crankhall Lane store, which is where the food-to-go machines are, I now leave to my staff to manage,” he explains. “They’re in charge of keeping track of the ingredients, managing orders, everything. That means if there is a problem, I know who I need to speak to. “It’s great for motivating the team as well – they like having the responsibility and it makes them feel more involved in the business.” It also leads to some surprising market insights. “Cherry Drops sweets are selling really well at the moment in our store – there’s a trend in the Midlands where children like to mix them with their soft drinks. I only knew about this opportunity because my staff told me about it.”

DANNY knows that what works at one forecourt, might not work at another. “At the Birmingham forecourt, we have a barber on site. People use it while they’re filling up their car and waiting for their partners in the shopping centre nearby. “However, that wouldn’t work at Crankhall Lane. Instead, we have a mobile phone area, because there’s nothing else like that nearby. We also sell fishing bait at the forecourt, because there’s a fishing lake close by,” he says. This is all part of Danny’s vision to make sure his stores become one-stop locations for customers’ needs. “It’s important you don’t neglect the car side, so you need to make sure you have things like car-care products well-stocked and easy to find as well,” he explains. “We still invest a lot in the fuel canopy and recently we had Grip Hero put on every pump. You want customers to look at the shop as the place they can get all they need.”

FORECOURT FOCUS FEATURE

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

THE GREAT COMEBACK? Although the pandemic has hit every forecourt differently, many retailers are still finding food to go presents a significant opportunity. THE RETAIL EXPRESS TEAM speaks to retailers to find out where they’re seeing potential

BACK TO NORMAL? COVID-19 has hit different forecourts in different ways, and this is especially true when it comes to food to go. Prior to the pandemic and initial national lockdown, food to go was an increasingly important profit driver for many forecourts. However, for those stores that saw a drastic plum-

met in footfall, had to switch their focus to convenience grocery, or both, the category fell by the wayside. Others saw it surge in importance, and have found it continues to bring strong profits. Whatever the case, shopper trends and retailer responsibilities in the category have

changed. As people start to adjust to the ‘new normal’ for this winter, it could be an important time to think about how exactly you could bring food to go back, or continue to get the most from it in a way that is safe for your customers, profitable for your business and sustainable for the environment.

SELF-SERVE VERSUS SERVE-OVER A COMMON question Retail Express has seen raised by both suppliers and retailers alike is how to safely offer a food-to-go range during a pandemic. Tom McAvoy, from Nisa Milestone in Rathfriland, County Down, was quick to adjust to customers’ growing hygiene concerns.

“We stopped our serve-over food counter and went selfservice during lockdown,” he explains, the move designed to minimise contact between staff and customers, keeping both safe. Now, McAvoy is looking at what they can do to continue to expand the offer they have

in store, continuing to focus on the self-serve, but giving shoppers more options. “We’ve been looking for something similar to the black trays we use, but clear plastic which can be microwaved. It’s hard to find, but we’re looking at relaunching our offer with this in mind.”

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Rachael Hockmeyer, Hockmeyer Motors, Sleaford, Lincolnshire “WE’RE near a roundabout with a KFC, McDonald’s and a pub on it. Once lockdown started and they all closed, we picked up a lot of their business, and we’ve managed to keep it. I think the key is people have come in and seen what we have to offer. “In terms of shopper habits, though, the old rules are out the window now, and it seems like there’s very little rhyme or reason. “One thing we have noticed is that since people started going back to work, we’ve been selling more salads, wraps and fruit pots. It’s almost a January effect as people try and get healthy again. “We also do homemade cakes. We saw sales of those drop when the kids started going back to school. However, now there’s more uncertainty about if there’ll be another lockdown, cake sales have gone up again. I guess people are looking for treats in difficult times.”

FORECOURT FOCUS FEATURE

COPING WITH NEW TRENDS OF COURSE, one consequence of the upheavals in shopper trends and customer demographics is it can also bring an unprecedented level of unpredictability day to day. This in turn makes managing wastage an issue. “We had a big surge in foodto-go sales during lockdown, and it’s continued,” says Rachael Hockmeyer, from Hockmeyer Motors in Sleaford, Lincolnshire. “However it’s become really unpredictable as to when we’ll have sales peaks. On

the hot food side, the key is cooking little and often, to avoid food going to waste. Breakfast has long been our peak time, so we have our team come in a little earlier now to make sure the shelves are filled. Hockmeyer has found that despite that unpredictability, there are still some patterns to pick up on. “We sell a lot more tuna sandwiches later in the week than we do at the start. I’ve no idea why, but it’s a pattern we can plan around.”

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

MAINTAINING STANDARDS WITH Covid-19 still very much a threat, and different levels of restrictions still affecting the UK, it’s important that your forecourt is seen to be doing as much as it can to ease customers’ health and safety concerns. “In the food-to-go section, customers have a habit of picking up and looking at something, like a sandwich, before they buy it,” says Hockmeyer. “We make a point of asking them nicely to only touch the things they’re going to buy.” Hockmeyer has also in-

stalled hourly and two-hourly cleaning rotas around the forecourt to reassure shoppers. Of course, it’s important that you communicate these high standards to your customers. “We promote on social media that our Costa Coffee machine is now contactless,” says Goran Raven, of Raven’s Budgens in Adbridge, Essex. “We also ensuring the cleanliness of the whole site is of a high standard, not just the food to go. If the pumps are dirty, customers will have doubts about the rest of the forecourt.”

NEW RUSH HOURS COVID-19 and its fallout have turned traditional customer demographics on their head. This is worth bearing in mind in your store. Shoppers who’ve used your forecourt for years might have different needs now, as they adjust to a new normal. An old stereotype – not just in forecourts, but convenience stores in general – is that food to go tended to be less successful in residential areas, but the growth in home working is changing that. Raven’s Budgens is located in Adbridge, a village just outside London, their

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Goran Raven Raven’s Budgens, Adbridge, Essex “OUR food to go was affected right at the start of lockdown. People didn’t seem interested in it anymore – they were distracted with panic buying groceries. “Mistakenly, we reduced and pulled back the foodto-go side, but the demand was back within a couple of weeks. In fact, we were selling more than we had been before the pandemic. “Since lockdown was first eased, at the start of summer, we’ve broken all of our records for hot food to go – multiple times. I think people are starting to look for where they can return to as normal a life as possible. “Being able to get food to go is one way of doing that. We’re now selling between 200-250 pains au chocolat a day. They are flying off the shelves.”

Painting by local artist on the window at Raven’s Budgens

shoppers usually a mix of commuters stopping off on their journey into work in the capital, and people living in the area. “Because of where we’re located, we’ve got a lot of people working from home who weren’t before,” says Goran Raven, the store’s owner. “We’ve almost got an extra rush hour now, as more people are coming in to grab something for their lunch. “I guess it’s that they’re trying to keep some normality in their routine by coming out the house for something to eat.”

CATEGORY ADVICE SEASONAL BISCUITS & CAKES

the stat

80%

of biscuit sales come from only 8% of products in convenience stores

A SLICE OF SEASONAL SALES Christmas is an important sales opportunity, with many shoppers stocking up on biscuits and cakes as presents or for themselves, but how should retailers be preparing? TAMARA BIRCH finds out

CHRISTMAS WILL BE DIFFERENT IT’S no secret that Christmas celebrations are likely to change this year and, as a result, shopper buying habits will change, too. Suppliers have recommended that retailers focus on a core range to avoid having leftover stock once the festive season ends. Biscuits and cakes are a staple throughout Christmas, so having a strong range is key. Talk to suppliers and any reps about how to best merchandise your range – and find out predicted trends. According to Scott Snell,

vice president of customer at Pladis, shoppers are likely to be more indulgent this year. “Indulgence is particularly important for shoppers at Christmas, and 50% of Christmas biscuit servings offer a little bit of indulgence.” As a result, Snell recommends stocking trusted and recognisable brands, such as McVitie’s: “Stocking products, like the festive edition of McVitie’s Family Circle, will help retailers drive higher volume sales during the Christmas period.” Surb Kaur, UK sales director

for Gullon, agrees and says that snacking is likely to be at the forefront of shoppers’ minds when buying Christmas biscuits and cakes. “With so much uncertainty, consumers are turning to the comfort of traditional flavours,” Kaur explains. “Christmas is likely to be no exception, and we expect to see people spending more time at home. Snacking, therefore, is likely to be very important.” Kaur also suggests that, for some, health will be a major con-

cern. “While the coronavirus pandemic had us all reaching for comfort snacks, there has been a growing recognition of the importance of taking health seriously.” Stock a selection of biscuits that are lower in sugar for any health-conscious consumers or for those saving those calories for other treats.

TOp tips Offer value, promotions or PMPs Retailers have reported an uplift in demand for value lines, so consider introducing a range of price-marked packs (PMPs) in biscuits and cakes. Susan Nash, trade communications manager at Mondelez International, says PMPs offer a number of advantages and give shoppers reassurance they’re getting the best deals. Stock recognisable brands With the uncertainty of this year, shoppers are likely to be looking for familiar products, so stock recognisable brands, like Cadbury Oreo or McVitie’s, to drive sales. Merchandise in highly visible locations or on gondola ends to capture shoppers’ attention. Make the area stand out Decorate any seasonal display you make using tinsel or baubles to help the area stand out and highlight any promotions you’re running in response. Use social media to promote the area in store and any new product lines.

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

BUDGET TREATS WE all indulge at Christmas, treating ourselves and mindless snacking is just part of the festivities. But some shoppers are likely to be watching the pennies this year. As a result, keep value customers in mind when building your biscuits and cakes range. Although it might not work for every store, suppliers are commenting on the effect of PMPs at Christmas. Mondelez’s Susan Nash says PMPs demonstrate value. “The perception of improved value, convenience and trust from

their customers make stocking PMPs a good option, with a fifth of shoppers saying they would choose a particular convenience store if they knew it stocked PMPs,” she says. Of course, PMPs aren’t the only way to communicate value. Have you considered running seasonal promotions? Or stocking a selection of own-label biscuits and cakes? This will enable you to meet a range of price points, so stock a selection and monitor sales to determine how successful these lines are for you.

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Scott Snell, vice president of customer, Pladis “OVER the festive season, consumers tend to prioritise moments of ‘being together’ and products that cater to these moments become even more important. This year, we expect ‘being together’ to become an even greater motivator for purchase, as shoppers bring their family and friends together to celebrate the end of a testing year. “‘Being together’ is an important trend year-round for the category, but biscuits that are part of a Christmas range are most likely to be eaten with other people, so stocking a range of sharing pouches and assortment boxes is key.”

MERCHANDISE EFFECTIVELY TO ATTRACT BISCUITS AND CAKES SHOPPERS DESPITE the recommendation to focus on a core range, retailers have reported that they expect a rise in seasonal products, with shoppers wanting to make the most of the festive season. Jey Sivapalan, of 1 Stop Go Local in Derby, is planning to order more. “We’ve had a lot of new customers since Covid-19 and shoppers are willing to shop more local,” he says. Merchandising effectively will help to drive seasonal

sales, so reach out to suppliers and use trade press and social media to find out about expected trends. Or, simply ask your customers which are their favourite biscuits and cakes products. Nash suggests staggering your seasonal range, starting early to capture early-season shoppers. “The opportunity in these earlier months is huge, with a third of early-season shoppers accounting for more

Advertorial

than half of total season spend,” she says. Nash suggests focusing on sharing products in September and October, ready for November when the season begins for shoppers. Focus on gift products and selection boxes in December to drive sales in the final month. Claire Hooper, head of marketing – cake at Pladis, says stocking seasonal products from well-known brands will help sales. “Seasonal events

with mass appeal are a great way to inject some novelty in store and encourage impulse purchases. This is particularly important for cake, which benefitted from £220m-worth of sales in December – £100m more than the average month,” she says. “Place seasonal products, such as McVitie’s Jaffa Cakes Festive Orange Yule, at eye level and create festive fixtures to drive impulse purchases.”

TOp products

Susan Nash Trade communications manager, Mondelez

Get set for the 2020 festive season with Mondelez MONDELEZ International is the number-one1 confectionery supplier at Christmas. This year, we’ll be helping shoppers create some much-needed Christmas magic for their loved ones. From the range of Cadbury advent calendars, to the beautifully designed Roses pouches and new Cadbury Dairy Milk Jingly Bells, there is something for everyone in this year’s range of treats. With festive candy growing at 5.1%2, retailers should also stock up on seasonal Maynards Bassetts formats to complement their chocolate ranges. We advise retailers to split Christmas into three phases to enable them to stock the right range at the right time. The festive season begins in October when stores can kick off with a ‘Season Start’ for sharing confectionery as the nights draw in. In November, the season begins for shoppers with the ‘Countdown to Christmas’, so retailers should reflect this in store with advent calendars and decorations. Chocolate gift boxes are the biggest-selling products at this time3, so we advise retailers to only stock the bestselling advent calendars and replace them with gift and selection boxes as we enter December and the big day approaches. At this stage, retailers can deliver ‘Seasonal Christmas Magic’ where shoppers are looking to trade up by stocking up on gifts to drive maximum sales from festive shoppers. New for this year

McVitie’s Jaffa Cakes Christmas Present New to Pladis’ Christmas range, McVitie’s Jaffa Cakes Christmas Present is a ready-to-gift Christmas box, which includes 20 original and 20 orange & cranberry Jaffa Cakes. McVitie’s Jaffa Cakes Festive Orange Yule Logs A festive take on the popular cake bar, McVitie’s Jaffa Cakes Festive Orange Yule Logs contain 98 calories, ideal as a permissible treat throughout Christmas. The cake bars are available in packs of five, with a £1 RRP. Oreo Selection Box New to Mondelez’s Christmas range, Oreo Selection Box is the perfect Secret Santa Christmas gift. The selection box is filled with Cadbury Dairy Milk and Oreo bars, including Oreo Mint, Classic Oreo and two Original Cadbury Dairy Milk bars. The selection box has an RRP of £5.95. Paterson’s Shortbread Biscuits According to Burton’s Biscuit Company, Paterson’s Shortbread Biscuits are good value and suitable for sharing. The biscuits are likely to be considered a treat for shoppers or as a Secret Santa gift. Cartons and larger formats are also available.

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Jey Sivapalan, 1 Stop Go Local, Derby “WE’RE expecting Christmas to be busy and we’re ordering in additional stock to prepare for the increases in footfall we’ve had as a result of Covid-19. Shoppers are choosing to buy in convenience stores more than ever before and we’ve also taken into account the effect a second lockdown will have on availability. “Although chocolate boxes are our biggest seller, we stock a wide range of biscuits and cakes throughout Christmas. Gift-buying is a huge factor for us at Christmas and we tailor our range to this. “I expect sharing formats will be a huge trend this year, especially since a lot of customers have been shielding or haven’t seen their loved ones in months.”

Cadbury Dairy Milk Advent Calendar Consisting of Cadbury Dairy Milk Chunks, the advent calendar is perfect for those who want a classic treat to enjoy as they countdown to Christmas. Cadbury Dairy Milk Jingly Bells Available in two flavours, Hazelnut Crème and Chocolate Noisette, Cadbury Dairy Milk Jingly Bells are perfect for a treat for adults or a gift in stockings this Christmas. Oreo Selection Box 430g The perfect Secret Santa Christmas gift for Oreo fans, this selection box is filled with Cadbury Dairy Milk and Oreoflavour goodies. You can find further details on how to boost your seasonal sales at deliciousdisplay.co.uk Nielsen, total coverage, total confectionery, 17 weeks to W/E 28.12.19 2Nielsen 3Impulse Convenience; Nielsen w/e 28th December 2019 vs w/e 29th December 2018

PROTECTING STAFF

In partnership with

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

REDUCE CRIME USING TECHNOLOGY With many convenience retailers facing an increased number of shop thefts and antisocial behaviour, FACEWATCH is offering a solution. RETAIL EXPRESS finds out more

HOW IS IT MANAGED?

HOW DOES IT WORK? FACIAL recognition software deters crime and antisocial behaviour by forewarning retailers of any problems that could occur. Facewatch alerts retailers about subjects of interest who enter the store and have committed a theft or been violent in the past. Using a standard CCTV camera professionally set up to capture the faces of shoppers entering your store – even if they’re wearing a face mask – an alert is sent to the retailers’ mobile phone within seconds if the previous offender is on their watch list.

CAN I AFFORD TO INVEST?

FACEWATCH is compliant with all GDPR data rules and can be used in any retail store. Retailers must manage the system professionally, but full training is provided so retailers are able to add offenders to their watch list correctly. Nick Fisher, CEO of Facewatch, says that customers and employees have expressed positive feedback about the use of Facewatch in store. “The Facewatch system ensures a safer shopping experience and adds peace of mind for staff, especially when working alone,” he explains. “Facewatch also helps to create safer town centres and communities as watch lists are shared locally.” Signage must be used to communicate to customers about the use of Facewatch in stores, which acts a further deterrent to those focused on theft and antisocial activity.

UNLIKE CCTV, facial recognition doesn’t just record crime, but stops crime before it happens. Facewatch aims to reduce loss by at least 25% in the first 90 days of installation and over 35% in the first year. The system costs £199+VAT every month for stores with a single entrance and exit, which includes installation and training, and return on investment for the average store is less than a year.

400

£4,543

retail workers face The cost of crime violence and abuse in the per store in 1 workplace every day convenience retail2 1

25%

shop loss reduction in 90 days after installing Facewatch facial recognition

British Retail Consortium – www.BRC.org.uk 2The Association of Convenience Store Crime Report 2020 - https://www.acs.org.uk/crime-report-2020

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Nick Fisher, CEO, Facewatch “FACEWATCH aims to deter previous offenders entering retailers’ stores and when working with nearby stores will create safe zones where known criminals will not frequent. Unique to the UK, our software is currently the only GDPR-compliant system available. Facewatch is different in the way it manages and stores data, and we manage all information on behalf of the retailer ensuring that any data is controlled and managed correctly. “Facewatch is a complete solution and only requires connection of the professionally set-up CCTV camera connected to our servers via the internet.”

Facial recognition is fast becoming a standard feature in convenience stores and it’s time for you to take proactive action, with free demos available. To find out more, call 020 7930 3225 or email enquires@facewatch.co.uk

CATEGORY ADVICE CHRISTMAS ALCOHOL

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

KEEP YOUR SPIRITS UP How can independent retailers ensure they profit from festive alcohol sales this year? TOM GOCKELEN-KOZLOWSKI finds out

VARIETY IS THE SPICE OF LIFE WEEK in, week out, the Retail Express team writes features about the core convenience categories and, in each one of these, there is at least a passing mention of the huge impact of coronavirus. As we approach a Christmas season without parties, with limited social gathering and the prospect that even families may not be able to sit around the same table on Christmas Day, the alcohol market looks like it may be most dramatically affected. Fortunately, however we do

it, seasonal celebrations are likely to require at least a tipple to mark the event. “We don’t yet know how Christmas in the UK will look, but wine is likely to continue be a feature in festive household gatherings and dinners,” says Jo Taylorson, head of marketing and product management for alcohol supplier Kingsland Drinks. “Retailers have the opportunity to be agile and adapt their offering to suit new lifestyles, taste preferences and budgets relatively quickly.”

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Conrad Davies, Spar Pwllheli, Gwynedd “TRADING up is the big thing for us. During the summer, we had bottles of Dom Pérignon for £50, which flew out, and Pouilly-Fuissé white wine at £22. “We work with Laithwaite’s, and what’s great is that these premium wines haven’t cannibalised the rest of our sales. “We also sell a range of gins and rums, including local Welsh gins that are sold as gifts. I think people aren’t going to want to go to the big shops this year and will continue buying little and often from earlier on. On top of this, we do very well on the beer slabs.”

CATEGORY ADVICE CHRISTMAS ALCOHOL

DRIVING ADDITIONAL SPEND ONE way to drive additional spend at Christmas is to capitalise on the growing trend for at-home cocktails. According to Campari marketing director Nick Williamson, 42% of consumers want to be inspired by in-store recipe ideas. He says: “With Christmas heralded as a time for indulgence, beverages such as the Aperol Spritz and Campari Gin & Tonic are perfect for

festive occasions.” Williamson adds that Prosecco is a “big seller” at this time of year, with one in four bottles of Prosecco sold in the UK off-trade sold during the eight-weeks before Christmas. Getting your rum range right is also vital in the run-up to Christmas, with James Stocker, marketing director at Halewood Artisanal Spirits, pointing out that flavoured and

Launches & promos

spiced rums are worth £470m. He says this is a trend the company’s new Dead Man’s Fingers Spiced Rum range is well placed to meet, mixing well with lemonade in simple serves, as well as working as an ingredient in more complicated cocktails. Stocker also recommends moving spirits from behind the counter if possible, to encourage impulse spend.

Apothic Cab Apothic’s new Cabarnet Sauvignon will appeal to both Cabernet enthusiasts and novices, as well as those who prefer smoother, more velvety wines. Stella Artois Alcohol-Free Recently launched alongside Budweiser Zero, the new beer aims to capture the growing market for alcohol-free varieties of bestselling beer brands.

WHAT’S TRENDING? THE 12 weeks running up to Christmas are responsible for more than a quarter (27%) of Accolade’s annual wine sales. Yet, what makes this time of year so profitable for suppliers such as Accolade – and for retailers, too – is that these sales tend to be tacked towards the premium end of the market, a trend expected

to continue despite any Covidrelated restrictions. Norbert Jozsa, Accolade head of category and insight, says: “We’re confident that shoppers will still be looking to trade up as we approach Christmas and they look for something special to enjoy during the festivities.” Jess Markowski, conveni-

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Mark Stammers, sales director UK and Ireland, E&J Gallo “FOLLOWING a strong performance over the past few months, we expect premium wines to sell well this Christmas as consumers splash out for the festive season. “We have seen a strong trend for trading up in the wine category, with wine priced at £7 and under growing by 3% year on year, whereas wine sold at above £7 has been growing by 40% – 13 times faster than wines priced below £7. “Over the past 16 weeks, the wine category has picked up at all price points, growing at a rate of 27%, with wine priced above £7 driving this growth, generating a 48% increase in revenue – still 2.5 times faster than wines sold below £7. “As we move into the winter months, and particularly into the festive period, we expect that this trend towards premiumisation in wine will continue to flourish. “It is therefore important for independent retailers to make sure they have a strong range of premium wine brands for consumers to choose from, merchandising them in prime spots to allow the consumer to easily trade up.”

ence sales director at Budweiser Brewing Group, says this trend isn’t limited to the wine category. “Shoppers are willing to indulge over the festive season, spending more on branded and premium ownlabel products over Christmas compared to the rest of year,” she says. “This is reflected in higher

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

Campari The Campari Group’s main brand presents itself as a seasonal variant for gin lovers and a key tool in popular cocktails such as negronis. spend per trip – December 2019 saw a 14.6% increase on the monthly average across the rest of the year.” Markowski adds that Nielsen data shows Budweiser was the number-three alcohol brand at Christmas last year and the second-most-valuable beer brand in UK retailers last year.

Corona No jokes, please. Budweiser says world beer sales grew by 14.2% last Christmas and Corona saw year-on-year growth of 11%. Mix-Up G&T Kingsland Drink’s affordable pre-mix can range includes G&T, Diet G&T, Pink G&T and Vodka Lemonade & Lime, and is priced at £1 in Co-op-supplied stores.

CATEGORY ADVICE CHRISTMAS ALCOHOL

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

THE KEY LINES THIS CHRISTMAS INDEPENDENT research by Pernod Ricard UK has identified gifts and hosting as the main reasons for spirit purchases at Christmas, with hosting accounting for 56% of all spirits occasions in December and 48% of people buying alcohol as a gift last year. In particular, the supplier has noticed significant opportunities in convenience stores in wine and whiskey. The company notes that gin, vodka, Irish whiskey and wine have always been important

categories for both hosting and gifts at Christmas – however, growth has accelerated in these sectors in 2020 and are the four key categories that have seen exponential growth during the lockdown period. “Lockdown has altered consumer shopping habits, and one of the biggest changes within wine and spirits has been the shift in consumer spend to the convenience off-trade,” says Chris Shead, Pernod Ricard UK’s off-trade channel director. “The trend to shop locally

continues to drive impulse and this provides a real opportunity to the channel in the run-up to Christmas to become a destination for key festive categories such as whiskey and wine.” To help retailers make sure they are prepared for this opportunity, the company has partnered with a new external field sales agency, McCurrach, to ensure it reaches more than 1,800 stores ahead of the festive period to help the convenience channel adapt to ‘new normal’.

FESTIVE MERCHANDISE BUDWEISER’S Stella Artois brand was originally produced for the Christmas period and the company says clever merchandising can help Stella drive sales across the store. “Bringing together crosscategory products in store helps inspire consumers to pick up items that may not have been on their shopping list. For example, by pairing Stella Artois alongside buffet favourites

such as charcuterie and cheese that complement its Belgian heritage,” says Markowski. Meanwhile, when it comes to making the most out of wine sales, Mark Stammers, sales director UK & Ireland at E&J Gallo, also stresses the importance of cross-merchandising. “Wine is a popular choice for consumers to take as a gift with chocolates or some nibbles,” he explains. “Create eye-catch-

ing displays that pair wines with certain foods to make matching wine to food much easier for consumers. This is a great option, therefore, for speeding up a consumer’s decision-making process and increasing spending.” He also suggests free give-away promotions and competitions at point of sale alongside bottles, such as a free corkscrew.

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ACADEMY IN ACTION

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

The Independent Achievers Academy is a learning and development programme that helps to increase sales and profits. Academy in Action shows how retailers like you are working with our partners to use the Academy’s advice.

We’re here to help. Call 020 7689 0500 Name: Shop: Location: Size: Staff:

Ravi Raveendran Colombo Food & Wine Hounslow, west London 700sq ft One full-time, one part-time

PARTNER ADVICE Chris Dillon

MERCHANDISING In part four of a 12-part series, the IAA and VAPE RETAILER visited RAVI RAVEENDRAN’s store in Hounslow, west London, to help him to improve his merchandising

MERCHANDISING is about making buying decisions easier for customers so they pick up more products. Ensuring footfalldrivers are easy to locate and high-margin products are at eye level will quickly help to increase basket spend and margin. Ravi Raveendran has owned Colombo Food & Wine in Hounslow, west London, for 30 years. Categories such as beer and soft drinks sell well alongside staples like bread, but he feels like he could do better with impulse lines and grocery. How can Vape Retailer’s Chris Dillon and the IAA help Ravi to improve his merchandising to drive impulse purchases and increase basket spend?

Want to see more? For more on how to improve your store and to see more of Ravi’s shop, go to betterRetailing.com/Academy-in-Action

Merchandising is key to increasing basket spend. Making these simple changes will encourage Ravi’s shoppers to buy more items.

Chris Dillon Editor Vape Retailer

YOUR ACTION PLAN 1 Walk your shop

This is designed to be used to help you think like a customer

2 Benchmark your shop

WHY I TAKE PART

Use the checklist below, ticking all you see evidence of

It’s good to get an outside opinion. Being in the shop all the time can make it difficult to take that step back. I want to find ways to bring new customers into my shop and encourage my existing customers to buy more. The advice from Samantha from the IAA and Chris from Vape Retailer was really helpful. I’m excited to make the changes suggested and see the results.

Arrange products on the shelf to guide purchasing decisions Price everything in a consistent way Use promotions to encourage additional purchases Have appropriate checks in place to ensure excellence

IAA ADVICE Using supplier promotional materials to highlight offers

Cross-merchandising categories to gain linked sales

Having price-tags that are tailored to your products

Ravi has a great selection of wines that are all clearly priced, but he feels they could sell better. How can he spark customers’ interest in his selection and get them to pick up a bottle?

Soft drinks are one of Ravi’s top sellers, but he finds many customers purchase just a drink and nothing else with it. How can he entice them into picking up a snack to increase his basket spend?

Ravi goes to a local market to pick up highquality fruit and vegetables for his shop. How can he get his customers’ attention and encourage them to purchase more of these products?

Chris says: “Newtrade insight research recently revealed that the majority of retailers believe their shoppers are not brand loyal when it comes to wine. This gives you an opportunity to guide them towards higher-margin brands by using supplier materials. It’s important to highlight lines that help you stand out.”

Chris says: “Cross-merchandising is a great way to drive additional purchases. Consider putting a sign by your soft drinks to promote crisps and confectionery, too, or create a special offer when purchasing a soft drink, packet of crisps and a chocolate bar to entice customers into spending more.”

Chris says: “Ravi has a great selection of loose produce and something you would expect to turn the store into a destination. Try adding clear price labels for each type so customers can buy with confidence. You could even list them on a rustic-looking sign outside the shop to highlight that you sell fresh fruit and veg.”

ACTION Work with suppliers to obtain promotional materials to help highlight higher-margin products.

ACTION Create signs to crossmerchandise complementary categories to influence additional purchases.

ACTION Create clear price labels for loose fruit and vegetables to enable customers to shop with confidence.

Research, review and improve your displays

3 Pick one thing to improve Write it down, implement it this week and let us know how you get on using #IAA20

MAKE BUYING DECISIONS EASIER Visit betterRetailing.com/IAA for more on how to promote and price your products consistently, and see how you can improve in 11 other categories

Next time: Shop Layout

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#retailtogether

NEXT SESSION

Thursday 22 October 4.30pm

We know that itâ&#x20AC;&#x2122;s been one of the most challenging years in independent retail with the way you need to run your stores having changed almost overnight. We also know that with the lack of physical events taking place, thereâ&#x20AC;&#x2122;s less of a chance to connect with like-minded retailers. Thatâ&#x20AC;&#x2122;s why we started #retailtogether, an informal digital networking event to help independent retailers share experiences, discuss issues and ideas, and see a few friendly faces. Join us every other Thursday at 4.30pm

For more information, contact Samantha Gunston 020 7689 0500 / @samanthagunston

ADVICE

20 OCTOBER-2 NOVEMBER 2020 betterRetailing.com

‘THIS YEAR IT’S ABOUT KEEPING EVERYONE SAFE’ The RETAIL EXPRESS team speaks to three retailers about how different the pandemic will make Christmas this year Christmas display at Spar Hampton

Festive displays at Jay’s Budgens of Crofton Park THE PROBLEM As we enter the last few months of the year, retailers are preparing their stores for the key sales opportunity that Christmas creates. But with the recession confirmed and a second wave of Covid on everyone’s minds, what will be different for Christmas this year?

Raaj Chandarana, Tara’s Londis, High Wycombe, Buckinghamshire

“I THINK we can’t plan too big because it is such a strange time. Everything is changing on a week-by-week basis. The events we hold, such as our street party and food tastings, are unlikely to happen, but we still have great support from Londis in terms of pre-sales and gifting. “It is likely to be business as usual, but just with a few unexpected changes. I ordered less pre-sales for Christmas this year, but that’s because I often get a bit carried away, so this is listening to my staff telling me off. Business is so strange at the moment because one day it is tumbleweed, and the next day it is absolutely mad. “It’s important to remember we are all absolutely knackered, and haven’t been on holidays. It is more about wanting to survive, and our priority is the health and safety of our customers and staff. This year it’s about keeping everyone safe.”

Spar Hampton, Christmas 2019

Christmas at Spar Hampton in 2019

Serge Notay, Premier Notay’s Convenience Store, Batley, West Yorkshire

“AS we approach the Christmas period, I think we need to start stocking up on all the essential festive ingredients. My prediction is that a lot of people will now be cooking more at home rather than seeing friends and family. “Also, we may get an increase in food sales as the cold weather sets in and people will not want to queue up to eat in pubs and restaurants. “I am preparing to stock more Christmas vegetables, like brussel sprouts and parsnips, for example. Maybe if I can, I will also source some goose fat and other lines that we used to sell years ago. “We will have to keep customers socially distanced and I will run more deals like giving customers a free bottle of mixer if they buy a bottle of 70cl spirit. Overall, we will have a wider range of products and more than we would normally carry.”

Paul Patel, WHSmith Local Dibden Purlieu Newsagents, Southampton

“IF the government lockdown restrictions continue, Christmas will be a lot different for many families. However, this creates an opportunity for retailers who already do fresh and chilled or might be looking at a way of introducing it into their shop. “Indoor meetings are restricted to six, and if this continues into Christmas, the limitations will impact how much food families will buy for their Christmas dinners. Take turkey, for example. Families won’t buy turkeys as large as they did in the past and there’s an opportunity for retailers to sell the meat at a smaller size. It’ll also give an opportunity for retailers to stock up on a new product that they were unable to in the past due to size constraints. “Customers are more aware of their neighbourhood convenience store, and this provides opportunity to make the most of an increased seasonal customer base.”

Facing a challenge? We’ve teamed up with the betterRetailing.com Support Hub and the IAA to provide a helpline for the answers you need. Call 020 7689 0500, email iaa@newtrade.co.uk or visit betterRetailing.com/coronavirus